The Effects of the Incentive System on Employees’ Entrepreneurship and Innovation Performance: Moderating Effect of Locus Control focused on the Private Hospitals
AUTHORS
Gandulam Ganbold,Ph.D. Candidate, Department of Business Administration, Gyeongsang National University, Korea
Muhammad Ayaz,Ph.D. Candidate, Department of Business Administration, Gyeongsang National University, Korea
Shenfchen Chen,Ph.D. Candidate, Department of Business Administration, Gyeongsang National University, Korea
Hyeongyu Jang,Professor, Department of Business Administration, Gyeongsang National University, Korea
ABSTRACT
The development of new medical devices and medical services in the environment that has been changed by COVID-19 is indispensable for the improvement of public health. Therefore, this paper discusses how the concept of incentive systems and employees' entrepreneurship can be applied to achieve innovation performance within a hospital sector (hospital employees) in South Korea. The purpose of this study is to examine relationships among the incentive system, employees' entrepreneurship, and innovation performance (product innovation, process innovation). In addition, the study investigates the moderating effect of locus of control between all model paths. The result of the paper shows the positive effects of the incentive system on employees' entrepreneurship. Furthermore, employees' entrepreneurship has a significant influence on product innovation and process innovation. Finally, the moderating effect according to the locus of control was partially adopted.
KEYWORDS
Incentive system, Employees’ entrepreneurship, Innovation performance, Locus control, Private hospital
REFERENCES
[1] J. Y. Kim, “A study on the effect of technological entrepreneurship and network capability on technology innovation capability and innovative performance: Focused on technology-based start-ups,” Soongshil University, doctoral dissertation, (2017)
[2] T. Bailetti, “Technology entrepreneurship: Overview, definition, and distinctive aspects,” Journal of Technology Innovation Management Review, vol.2, no.2, pp.5-12, (2012)
[3] O. E. James, R. Ella, S. E. Nkamare, F. E. Lukpata, and S.L. Uwa, “Effect of reward system among health care workers performance: A case study of university of Calabar teaching hospital Calabar, “Nigeria, Journal of Hospital Administration, ,vol.12, no.3, pp.1267, (2015)
[4] J. S. Hornsby, D. F. Kuratko, and S. A Zahra, “Middle managers’ perception of the internal environment for corporate entrepreneurship: Assessing a measurement scale,” Journal of Business Venturing 17, pp.253-273, (2002)
[5] J. Y. Yang and Y. J. Park, “The effect of incentive systems on organizational loyalty, business performance, and corporate performance: A focus on resort employees,” International Journal of Tourism and Hospitality Research, vol.34, no.1, pp.87-101, (2020)
[6] G. T. Nigusie and H. Getachew, “The effect of reward system on employee creativity,” Journal of Higher Education Service Science and Management (JoHESSM), vol.2, no.1, (2019)
[7] T. Besley and M. Ghatak, “Status incentives,” American Economic Review, vol.98, no.2, pp.206-11, (2008)
[8] W. C. Kim and R. Mauborgne, “Blue ocean strategy: From theory to practice,” California Management Review, vol.47, no.3, pp.105-121, (2005)
[9] V. Anatole-Touzet and W. Souffir, “Innovation technologique, organisation du travail et gestion des compétences,” Gestions hospitalières, no.354, pp.222-225, (1996)
[10] K. A. April, B. Dharani, and K. Peters, “Impact of locus of control expectancy on level of well-being,” Rev. Eur. Stud., vol.4, no.124, (2012)
[11] I. H. Zaidi and M. N. Mohsin, “Locus of control in graduation students,” International Journal of Psychological Research, vol.6, no.1, pp.15-20, (2013)
[12] J. B. Rotter, “Generalized expectancies for internal versus external control of reinforcements,” Psychological Monographs, vol.80, no.1, pp.28, (1966)
[13] J. H. Lim, S. G. Kong, S. Y. Oh, “The effect of entrepreneurship on innovation and management performances: Focus on the 5-star hotels in Seoul,” Journal of Hospitality and Tourism Studies, vol.21, no.4, pp.114-130, (2019)
[14] W. -U Hameed, A. Sabir, R. Saeed, S. Humanyon, and A. Asad, “The influence of behavioral biases on investment decision making: A moderating role of religiosity among Pakistani investors,” International Journal of Management Research and Emerging Sciences, vol.8, no.1, pp.87-98, (2018)
[15] P. Sok, A. O' Cass, “Achieving service quality through service innovation exploration-exploitation: The critical role of employee empowerment and slack resources,” Journal of Services Marketing, vol.29, no.2, pp.137-149, (2015)
[16] J. H. Lim, S. G. Kong, S. Y. Oh, “The effect of entrepreneurship on innovation and management performances: Focus on the 5 star hotels in Seoul,” Journal of Hospitality and Tourism Studies, vol.21, no.4, pp.114-130, (2019)